Bias: I feel the risk is for a choppy day - with 1.0600-05 and 1.0524-30 important levels
This is turning into a rather messy decline and I still feel we should either wait for the 1.0524-30 area to look for bullish trade set ups or a clear break above 1.0600-05 and preferably yesterday's 1.0637 high. Once this short term confusion is clarified it does look as if we're going to see gains that on breaks of 1.0637 & the 1.0660 high should extend through to 1.0723 and 1.0776 at least. I suspect it should even reach 1.0807-42.
24th March: This is beginning to look more bullish and if a bullish trade set up occurs around the 1.0524-30 area then it should be take for gains to push back to 1.0660-80 and then 1.0776 & 1.0807-42 en route the 1.0897 high and above.
I feel we are seeing a decline in some messy wedge-like structure and while 1.0600-05 caps this should lead to a move down to the 1.0524-30 area. However, take care as this could be the limit of any move. Only below the 1.0506 low would cause any concern and suggest a much larger bearish structure that would imply losses to the 1.0430-1.0460-74 area at least - initially. Below there is 1.0402 and the 1.0373 corrective low.
24th March: The 1.0506 low has held and becomes a crucial support I feel. Still keep in mind the 1.0460-74 area but if this breaks the overall structure will become more bearish - however, make sure that EURUSD also sees gains… which itself looks unlikely.
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